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Risk Management

Basic Approach

The JSR Group believes that preventing a major crisis from occuring and minimizing its effect on business activities is an important role of management. The Group has established a Risk Management Committee, and actively pursues risk management activities. The Risk Management Committee performs group-wide risk management and formulates response policies concerning actual or potential risks other than those arising in the normal course of business that are addressed in major conferences such as meetings of the Board of Directors*.

* Risks arising in the normal course of business that are addressed in major conferences, such as meetings of the Board of Directors, are strategic risks that include those associated with capital investment and M&A.

Risk Management Measures

In FY2010 (April 1, 2009 to March 31, 2010), JSR commenced full-scale operation of the risk management structures created in FY2009. As a result of company-wide risk management activities, 12 major risks across the Group were identified, policies for responding to them were decided upon, and risk control management measures were implemented. Henceforth, risks in all divisions will be identified and assessed, and countermeasures implemented, on an annual basis.
Furthermore, the JSR Group formulated a Risk Management Manual in FY2005 and strengthened the systems that will be applied in the event of a major crisis. The Risk Management Manual contains guidelines that specify policies for dealing with crises and recommendations for actions by each division in the event of a crisis, which are aimed at minimizing the impact on business activities. The manual is revised and systems are strengthened, based on the crisis management training that is carried out each year.

Crisis Management Training

Crisis Management Training (Yokkaichi Plant)
Crisis Management Training (Kashima Plant)

Crisis Management Training (Headquarters)
Crisis Management Training (Head Office)

Since FY2005, the JSR Group has been carrying out Crisis Management Training which includes participation by top management from the President down. Conducted on the basis of major disaster scenarios, training is carried out jointly by Head Office and the business offices and is aimed at enhancing crisis response capabilities to minimize the damage and impact on stakeholders in the event of a major disaster.
In FY2010, the simulated training was conducted on the premise of a major disaster at the Kashima Plant, with crisis centers established locally and at Head Office. Periodic training will continue in the future and, while working to strengthen our crisis management systems, we are undertaking rigorous accident and disaster prevention measures and strengthening our systems for rapid response to emergency situations in order to minimize risks.

Preparations for a Major Earthquake

Spending on Preparations for a Major Earthquake

The JSR Group adopted a medium-term plan in FY1996 concerning preparations for a major earthquake and has been conducting systematic activities to enhance those preparations. The medium-term plan was reviewed in FY2007, and based on the results of an earthquake resistance diagnosis, earthquake proofing construction has been conducted with a priority on high-pressure gas facilities at plants.

Employee Safety Confirmation System

In FY2010, JSR introduced an employee safety confirmation system to provide quick confirmation of the safety of employees and their families in the event of a disaster such as a major earthquake.

Influenza Countermeasures

On the outbreak of H1N1 influenza in FY2010, JSR implemented the influenza countermeasures formulated in FY2009 and took action to make the countermeasures more practical and capable of responding flexibly to all virulent influenza strains.

Information Security

The JSR Group adopted an Information Security Policy and is working to implement appropriate information management by informing all personnel of the policy.

Information Security Policy
  • The JSR Group (the corporate group constituted by JSR Corporation and it subsidiaries) will observe the laws and other social norms relating to the handling of information belonging to the Group and its customers, business partners and other third parties, and will protect that information in appropriate ways.
  • The JSR Group will strive to develop and actively use its information assets for the efficient conduct of its business. The Group’s officers and employees will only use these information assets for the purposes of their work and within the scope of their authority.
  • The JSR Group will improve organizations and systems, conduct education on information security, thoroughly disseminate this policy and related regulations, and implement measures to ensure information security.
  • The JSR Group will implement appropriate human, organizational and technological measures and work to prevent unauthorized access to information assets from outside the company, as well as leaks, falsification, loss, theft and destruction of information assets.
  • If an information security related problem occurs, the JSR Group will promptly identify the cause and take measures to minimize damage and prevent reoccurrences.
  • The JSR Group will periodically assess and review its information security measures to respond appropriately to changes in external environments.

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